For ease of administration, Sabah is divided into 23 districts and 7 sub-districts. All of them are equipped with at least a mini-secretariat to serve the needs of the people. These districts are managed by District Officers or Assistant District Officers, who perform a myriad of tasks. They were referred to as the "kings" of the districts in the old days.

The three main towns in Sabah are Kota Kinabalu, which is also the State capital, Sandakan and Tawau. Being the capital, Kota Kinabalu is the main administrative and business centre in Sabah. Kota Kinabalu has just recently achieved city status on 2 February 2000, the first city in the state of Sabah, and the third in Borneo.